Sunday, August 02, 2009

What Jobs? What Businesses Left?

Here is the overall issue, one is not working and no or little income coming into the home budget. Here in Connecticut the maximum unemployment rate one can receive is $519 a week. Many individuals get that much and as such many employers here in the state, have seen their unemployment tax skyrocket. Thus if you divide 40 hours into $519., you are getting almost $13 an hour for not working for 75 weeks. What incentives does one have to take a job at a lower rate than that? Thus many will take the unemployment for 75 weeks and not worry about it. Why would you take a job for $9 a hour when you can get $13 for not doing anything? How can Connecticut businesses continue to pay a high unemployment tax along with now new corporate tax surcharges and still remain competitive in our economy?
Here in Connecticut the private sector should be referred to as the political sector. We have a bunch of politicians whose only concern is to get reelected with out any type of economic consequence for their miserable and misguided taxes and excessive spending of taxpayers monies. Here is just another example of their economic illiteracy.

1 comment:

Dross said...

Enjoy your writings, I so dislike the term "blog".

Having been out of work for the first time since I was 14 years old, this 50 year old found himself on unemployment. The weekly payment is based on what you made when you were employed, and it maxes out at $519 or so.

So that person getting $13 a hour on the dole, made a lot more money than that when employed. The system has incentives built in, gets you by, but you are sweating it out.

More importantly in my mind is the decades long exodus of businesses and young people out of the highly taxed state. And yes, as businesses leave, and lay people off, the burden of those businesses that stayed is greater. Creating more incentive to flee.

Cut government spending and there will be more for us and businesses.